UK AND IRELAND
* The U.K. Treasury and Bank of England agreed to revise the framework for an independent review into a £1.5 billion capital shortfall at Co-operative Bank PLC that was uncovered in 2013, bowing to pressure from lawmakers, the Financial Times reported.
* The five largest banks in the U.K. disclosed a total of 64 major security and operational incidents causing service outages for customers in the second quarter, Reuters reported. Lloyds Banking Group PLC reported 19 cases, with most of them impacting internet banking, while Barclays PLC, Royal Bank of Scotland Group PLC, HSBC Holdings PLC and Santander UK Group Holdings Plc disclosed 18, 16, seven and four incidents, respectively.
* Meanwhile, RBS and Clydesdale Bank PLC came in joint last in the list of U.K. banks ranked based on their overall service quality as part of a regulatory requirement by the country's Competition and Markets Authority and Financial Conduct Authority. The list was based on an independent survey conducted between September 2017 and June 2018 by GfK UK Ltd. RBS also ranked bottom in a BDRC survey on business banking services.
GERMANY, SWITZERLAND AND AUSTRIA
* The German association of savings banks, as co-owner of HSH Nordbank AG, is currently negotiating with an investors' consortium led by Cerberus Capital Management LP about the conditions of a potential sale to the private equity firm, including Cerberus' possible contribution to the savings banks' deposit protection fund, Börsen-Zeitung wrote.
* Germany-based fintech startup Deposit Solutions GmbH raised a total of $100 million in a funding round, led by private equity firm Vitruvian Partners, valuing the company at $500 million.
* Swiss National Bank Vice Chairman Fritz Zurbrügg said the franc's surge in the wake of Turkey's economic turmoil proved that the central bank's policy of charging negative interest rates and intervening in currency markets when needed was justified, according to Reuters.
* Switzerland-based VZ Holding AG said its managing director for asset management, Peter Stocker, is leaving to focus on institutional clients and will be succeeded by Manuel Rütsche, most recently CEO of subsidiary VZ Quant Portfolio Services AG, from Sept. 1.
* Clemens Hochreuter, former board member of Neue Aargauer Bank AG responsible for corporate clients and politically engaged in the Swiss People's Party, has been appointed new senior partner for the Bern branch of Zurich-based asset management firm Helvetic Trust AG.
* Heta Asset Resolution AG, which holds the assets of failed lender Hypo Alpe-Adria-Bank International, plans to sell its Croatian unit to Norway's B2Holding ASA and Sweden's DDM for €160 million, SEENews reported, citing Slovenian daily Finance. Heta also plans to sell its Slovenian unit in autumn, according to the report.
FRANCE AND BENELUX
* Aegon NV reported first-half unaudited net income attributable to owners of the company of €491 million, down from €907 million in the same period in 2017.
* NN Group NV posted a second-quarter net result of €463 million, up from €240 million a year ago. For the first half, the group's net result increased year over year to €862 million from €676 million. Meanwhile, Robin Spencer stepped down from his post as CEO of international insurance, effective June 1, as part of a number of changes to the company's management board. Spencer was succeeded by Fabian Rupprecht.
* Meanwhile, Aegon agreed to sell its businesses in Czech Republic and Slovakia to NN Group for €155 million, subject to regulatory approvals. The deal is expected to be completed in early 2019.
* Rabobank reported net profit of approximately €1.70 billion for the first half, up from €1.52 billion a year earlier.
* Dutch insurance group Achmea BV booked a first half net result of €133 million, down from €171 million in the same period in 2017.
* Dutch state bank Volksbank NV has hired investment bank Goldman Sachs to explore a potential IPO, De Telegraaf reported.
SPAIN AND PORTUGAL
* Spanish lender Banco Bilbao Vizcaya Argentaria SA is winding down its Ireland-based operations as part of a corporate reorganization, the Irish Independent reported.
* Qatar reaffirmed its ties with Turkey and vowed to make investments worth billions of dollars as Ankara continues to grapple with a currency crisis and a political dispute with the U.S. The investment will reportedly be channeled into Turkey's banks and financial markets.
* Turkey's Banking Regulation and Supervision Agency set the limit for Turkish banks' currency swaps, spot and forward transactions with foreign counterparties to 25% of their regulatory capital from 50%.
* Akbank TAS CEO Hakan Binbasgil said Turkey's banking sector remains strong and liquid and that measures taken to support the market amid sharp falls in the lira are already taking effect, Reuters reported.
* Turkish Stock Exchange Chairman Himmet Karadag resigned from his post to focus on his role as deputy chairman of Türkiye Halk Bankasi AS, Reuters reported.
* Andrey Klopotovsky, deputy president and chairman of the management board at BM-Bank JSC, was appointed acting president and management board chairman at the VTB Bank PJSC unit.
* Vladimir Antonov, the former co-owner of Lithuanian bank Snoras, pleaded guilty to the embezzlement of 150 million Russian rubles from Russia-based JSC Bank Sovetsky and concluded a pretrial agreement with investigators, Vedomosti said.
* Temporary administrators of Russia-based OFK Bank and Russian Trade Bank LLC, appointed after the central bank revoked the banks' licenses, discovered that 15.5 billion Russian rubles had been embezzled from the lenders under their previous ownership and notified law enforcement authorities about the transactions, Vedomosti reported.
* A law allowing the Slovenian Succession Fund to cover potential damages against Nova Ljubljanska banka d.d. arising from lawsuits brought by Croatian banks, has entered into force, SEENews said. Slovenian finance ministry believes that the law will help neutralize the impact of unfavorable court decisions on the price of the bank.
IN OTHER PARTS OF THE WORLD
Asia-Pacific: QBE H1 net profit rises YOY; Indonesia hikes rate; ANZ's OnePath sale in limbo
Middle East & Africa: More Israeli banks post results; Qatar comes to Turkey's aid; Namibia holds rate
Latin America: Q2 profits rise for Grupo Sura, BCI; Scotiabank to buy Dominican lender
North America: Berkshire ups Goldman Sachs stake; Wells Fargo operational risk chief to resign
Global Insurance: Alphabet backs health start-up; Berkshire ups Goldman stake; Anbang shops Vivat
NOW FEATURED ON S&P GLOBAL MARKET INTELLIGENCE
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Sheryl Obejera, Arno Maierbrugger, Meike Wijers, Esben Svendsen, Beata Fojcik, Yael Schrage, Stephanie Salti, Praxilla Trabattoni and Mariana Aldano contributed to this report.
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